Biogen confirmed the layoffs but did not specify how many people from which departments or locations were affected. A number of employees from the multiple sclerosis and cell and gene therapy departments posted on social media that they had been let go.
“Some of our colleagues were recently informed that their roles are being impacted as a result of decisions designed to optimize our business strategies and align our cost and revenue base,” a spokesperson told the publication. “We appreciate the contributions of our departing colleagues. All impacted employees are eligible for severance and support services as they transition out of the company or, in some cases, the opportunity to apply for another role within Biogen.”
The multiple sclerosis team, which is responsible for most of Biogen’s sales and marketing spending, was also responsible for about 68 percent of the company’s total product revenue, according to the report.
“Now, the MS franchise still supports most of our revenue in the business,” new CEO Christopher Viehbacher told the Journal. “So we’re going to have to be careful about how much we want to reduce that spend by, but clearly, that’s a declining revenue base.”
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.
